KYC

KYC as an abbreviation (know your customer) is a process of identifying and verifying clients of a business. KYC ICO wants to improve this process, using blockchain technology. Their aim is to make it easier, cheaper and safer for both clients and businesses.

How it works:

Personal information of users is protected by encryption, using decentralized data ledgers. Users can choose what kind of data to provide during authorisation process.

Services, in their turn, have access to reliable information on users for a low fee, and lowered risk of fraud.

The platform offers two types of identification: self-identification and agent-required verification.

During self-identification of personal data users can verify provided data through a code generation process to confirm the validity of entry.

Many KYC verifications, however, require a third party, a certified agent, to confirm user’s identity. KYC wants to solve this problem by creating a global network of licensed verified agents who will provide verification on demand in under 30 minutes from your request.

Innovation:

As KYC’s market analysis shows, user verification costs on average between $10 and $1500 per client and might take anywhere from 2 days to 6 weeks to process.

KYC’s aim is to lower the cost and the waiting period by using decentralized network of identification data that users can pull from whenever they need to undergo an identification process required by a company.

Innovation score: Medium

Token value:

Apart from the default option of selling KYC tokens on cryptocurrency exchanges as they rise in price, there is another possibility of getting revenue out of them.

Token holders can create so called “Stacks”, token wallets that can be used for verification services. Token holder would share the referral link to their Stack and define a revenue split between them and a user. As the service is paid for by a company, token holder and user will split 50% of the revenue, the other 50% being reserved for a verification agent.

Token value score: High

White paper:

The project’s white paper is pretty solid. It comments on the technology involved in the functioning of the platform, as well as provides market analysis and details legal basis of the business.

White paper score: High

Roadmap:

KYC shows two roadmaps containing development and marketing plans. However, they are not as detailed as they should have been. The team have launched beta version in October 2017, the next steps are to publish milestones in August 2018, and acquire 10 mio users by march 2019.

Marketing attempts go international. Campaigns in Beijing, Paris, New York, and other megapolises are to be held during 2018. Still, the number of users they plan to have in a span of a single year sounds way too optimistic, if not dishonest.

Roadmap score: Medium

Business model:

KYC’s business model is data monetization. While rather expensive verification services will only bring revenue to token holders and certified agents, KYC plans to bring in revenue by selling hash of verified data to third-parties in exchange for a small fee.

This is an efficient business model, but the project heavily relies on a network of certified agents and rapid growth of the user base. There are question as to whether the deadlines they claim will be met.

Business model score: Medium

Team:

The project’s team is very diverse and strong, including people from all over the world with different qualifications in their portfolio. The team’s CEO already has a lot of experience in leadership and developing projects.

Team score: High

Competitors:

KYC sets out to compete against established verification giants, which can be a tough challenge to face. However, since they provide a significantly improved service and there are no matching competitor startups in the field of digital KYC services, KYC.LEGAL has all chances for success.

Competitors score: Low

Overall thoughts:

KYC.LEGAL operates with a great idea that can really improve verification business, but has somewhat optimistic ideas about their success. However, they may become big in a couple of years, and their tokens can be used to drive revenue. Worth a gamble.